In recent years, my professional career, both as a banker and as an entrepreneur, has given me the opportunity to meet hundreds of business leaders. All of these companies have one common issue stands out: the management and optimization of inventories!
Excess inventory (inventory that companies do not use) is an increasingly aggravating factor for SMEs. It greatly affects working capital and puts constant pressure on companies’ liquidity.
It’s not uncommon for companies to order inventory and not use the entire order. The result of this means that 15-20% of inventory will become obsolete. There are many reasons why this might happen:
- Need to order a minimum quantity (imposed by the supplier)
- Cancellation of orders from customers
- Poor purchasing planning (often based on history)
In addition to monopolizing warehouse space, which is also associated with a significant cost (optimization of space), excess inventory slows the growth of several SMEs, all industries combined.
Myself, as a former manager of an SME, I experienced the impact of supporting a non-dynamic inventory. The impacts are harmful.
BizBiz Share/BizBiz Stock is the solution to help eliminate inventory surplus! It offers businesses a simple and effective tool and is an essential way to boost business liquidity!